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1 November 2019
Southern District of Illinois Secures Conviction of Second Dark Web Drug TraffickerRead the Press Release
CALIFORNIA WOMAN KNOWN AS “THE DRUG LLAMA” PLEADS GUILTY TO CONSPIRACY, TRAFFICKING FENTANYL ON THE
DARK WEB, INTERNATIONAL MONEY LAUNDERING, AND FENTANYL DISTRIBUTION RESULTING IN DEATHThis afternoon, Melissa Scanlan, 32, appeared at the federal courthouse in East St. Louis, Illinois, and pleaded guilty to all ten felony charges pending against her in the Southern District of Illinois, admitting her role in a nearly two-year conspiracy to distribute fentanyl throughout the United States via the “dark web.”1 Scanlan was one of two people known on the dark web as “The
Drug Llama.” The other person, co-defendant Brandon Arias, 34, pleaded guilty to all eight charges against him earlier this year. Both Scanlan and Arias are natives of San Diego, California.The ten charges to which Scanlan pleaded guilty are as follows: one count of conspiracy to distribute fentanyl, five counts of distributing fentanyl, one count of selling counterfeit drugs, one count of misbranding drugs, one count of conspiracy to commit international money laundering, and one count of distribution of fentanyl resulting in death.
Fentanyl is a highly addictive and oftentimes lethal opioid painkiller.
As part of her guilty plea, Scanlan admitted that she and Arias created an account on “Dream
Market,” a dark web marketplace where users buy and sell illegal substances and services, and used that account to sell substantial quantities of narcotics while operating under the moniker, “The
Drug Llama.” The charged fentanyl distribution conspiracy lasted from October 2016 to August 2018, during which time Scanlan sold approximately 52,000 fentanyl pills throughout the United States.1 The dark web is an underground computer network that is unreachable by traditional search engines and web browsers, creating a seeming anonymity to users. This false cloak has led to a proliferation of criminal activity on dark web marketplaces, like the one used by Scanlan and rias.
According to court records, Scanlan and Arias made over $100,000 from their dark web drug trafficking and split the money evenly. Scanlan further admitted her participation in an international money laundering conspiracy with Mexican cartel members, as well as her role in aiding and abetting the distribution of fentanyl pills to a woman identified as A.W., who died as a result of taking those pills.
Commenting on the case, U.S. Attorney Steven D. Weinhoeft assailed the culture of criminality that exists on the dark web. “Criminals like Melissa Scanlan who recklessly flood our communities with opioids may think they can evade detection in the shadowy corners and back alleys of the internet.
But they will find no quarter there. Where they go, we will follow. With the collaboration of outstanding investigators at our partner agencies, we will use every tool and method available to find these people and prosecute them to the fullest extent of the law.”“Illicit opioid distribution, whether online or through conventional drug distribution methods, and the resulting overdoses and deaths are a continuing national crisis; those who contribute to that crisis through their illegal actions will be brought to justice,” said Special Agent in Charge
Charles L. Grinstead, FDA Office of Criminal Investigations Kansas City Field Office. “We are fully committed to disrupting and dismantling illegal prescription drug distribution networks that misuse the internet at the expense of public health and safety.”“With accessibility of fentanyl, it is imperative that the Drug Enforcement Administration and its law enforcement partners exploit all distribution avenues utilized by drug traffickers in Scanlan’s case,” stated DEA Special Agent in Charge William J. Callahan of the St. Louis Division. “Scanlan distributed poison in our community that resulted in death and she is now being held accountable.”
Scanlan has been held in federal custody since her September 2018 arrest. Her case is set for sentencing before the Honorable Nancy J. Rosenstengel, Chief United States District Judge for the
Southern District of Illinois, on February 10, 2020, at 1:30 pm. By law, Scanlan faces no less than
20 years in prison for distributing fentanyl resulting in death. She could receive up to life imprisonment and as much as $10 million in fines.This case was part of a months-long, coordinated national operation involving the Food and Drug
Administration (FDA), Office of Criminal Investigations (OCI), the Drug Enforcement Administration
(DEA), the United States Postal Inspection Service, the Department of Homeland Security (HSI), United States Customs and Border Protection (CBP), the United States Attorney’s Office for the
Southern District of California, and the United States Attorney’s Office for the Southern District of Illinois. Assistant U.S. Attorney Derek J. Wiseman is the prosecuting attorney on this case.
Sioux Falls Man Indicted on Meth and Gun ChargesRead the Press Release
United States Attorney Ron Parsons announced that a Sioux Falls, South Dakota, man has been indicted by a federal grand jury for Possession with Intent to Distribute a Controlled Substance and Possession of a Firearm by a Prohibited Person.
Patrick Cummings, age 33, was indicted on October 16, 2019. He appeared before U.S. Magistrate Judge Mark A. Moreno on October 31, 2019, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 40 years in prison and/or a $5,000,000 fine, a lifetime of supervised release, and $100 to the Federal Crime Victims Fund for each Count. Restitution may also be ordered.
The Indictment alleges that on July 4, 2019, Cummings knowingly and intentionally possessed with the intent to distribute methamphetamine, and knowing he had been convicted of a crime punishable by imprisonment for a term exceeding one year, knowingly received and possessed a Smith & Wesson .380 AUTO caliber, semi-automatic pistol.
The charges are merely accusations and Cummings is presumed innocent until and unless proven guilty.
Drug trafficking is an inherently violent activity. Firearms are tools of the trade for drug dealers. It is common to find drug traffickers armed with guns in order to protect their illegal drug product and cash, and enforce their illegal operations.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of its renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and local communities to develop effective, locally-based strategies to reduce violent crime.
The investigation is being conducted by the South Dakota Highway Patrol and the Northern Plains Safe Trails Drug Enforcement Task Force. Assistant U.S. Attorney Meghan N. Dilges is prosecuting the case.
Cummings was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Schuylkill County Man Sentenced to 24 Months’ Imprisonment for Straw Purchases of FirearmsRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced that on October 31, 2019, United States District Judge Malachy E. Mannion sentenced Theodore R. Stang, Jr. age 31, of Girardville, Pennsylvania, to 24 months’ imprisonment and a two-year term of supervised release, for unlawfully purchasing firearms for another individual.
According to United States Attorney David J. Freed, during June 2017, Stang acted as a “straw purchaser” of firearms, purchasing two handgun-style firearms for another individual who was not permitted to lawfully purchase or possess firearms based upon prior criminal convictions and whom Stang knew to be involved in narcotics trafficking.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives. The case was prosecuted by Assistant U.S. Attorney Jeffery St John.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
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Richmond Woman Sentenced to Prison for Identity Theft and Tax FraudRead the Press Release
RICHMOND, Va. – A Richmond woman was sentenced yesterday to approximately seven years in prison for conspiracy to commit wire fraud, aggravated identity theft, and failure to appear in court for a sentencing hearing.
According to court documents, Banita Brandise Saffore, 34, and her mother, co-defendant Charlene Saffore Cannon, ran a tax preparation service in which they systematically filed returns for clients that contained false representations as to the clients’ Schedule C income, dependents, and education expenses in order to obtain inflated refunds. As early as 2011, they began filing tax fraudulent tax returns using stolen identities and pocketing the refunds in their entirety.
In addition to the prison sentence, Saffore was also ordered to pay $169,227 in restitution to her victims.
Saffore pleaded guilty to the conspiracy and identity theft charges, but then failed to appear at her sentencing in September 2018. Two other defendants have been sentenced for charges related to this scheme:
Name, Age
Hometown
Felony Conviction
Sentence
Charlene Saffore Cannon, 53
Richmond
Wire Fraud, Aggravated Identity Theft
36 months in prison
Sherin Lee Saffore, 60
Henrico
Making a False Personal Tax Return, Assisting in Preparation of False Tax Return
60 months of probation, nine months of home detention
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Kelly R. Jackson, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI), made the announcement after sentencing by Senior U.S. District Judge Robert E. Payne. Assistant U.S. Attorney Michael C. Moore prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case Nos. 3:18-cr-10, 3:18-cr-13, and 3:19-cr-003.
Repeat sex offender sentenced to 10 years in prison for possession of images of child rape and molestationRead the Press Release
Seattle – A 40-year-old Seattle man was sentenced today in U.S. District Court in Seattle to ten years in prison and fifteen years of supervised release for possession of child pornography, announced U.S. Attorney Brian T. Moran. NOLAN PAUL CYRE, was on probation for a state sex crime in April 2018, when hundreds of images of child pornography were discovered on his electronic devices. At the sentencing hearing, U.S. District Judge Robert S. Lasnik told CYRE, “You have an addiction, an attraction to using young children as sexual objects…. You have a lot of work to do.”
According to records filed in the case, in February 2016, CYRE was sentenced in King County Superior court to 34 months in prison for attempted commercial sexual abuse of a minor. In that case, CYRE attempted to pay a 15-year-old for sex acts. As part of his probation following the prison term, CYRE was prohibited from possessing electronic devices that could access the internet. On a visit to his residence, probation officers noticed a laptop and other prohibited devices. The devices were seized and forensically analyzed by Homeland Security Investigations (HSI) and were found to contain hundreds of images and movies of child sexual abuse. The investigation revealed that the laptop contained 113 image files and 48 video files of known victims of child pornography.
CYRE also has a 2011 arrest and military court conviction for possession of child pornography.
Judge Lasnik ordered him to pay $12,000 in restitution to the six victims identified in the child pornography on the laptop.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
The case was investigated by Homeland Security Investigation (HSI) and the Washington State Department of Corrections (DOC).
The case was prosecuted by Special Assistant United States Attorney Cecelia Gregson. Ms. Gregson is a Senior Deputy King County Prosecutor specially designated to prosecute child exploitation cases in federal court.
Rapid City Man Sentenced on Child Pornography ConvictionRead the Press Release
United States Attorney Ron Parsons announced that a Rapid City, South Dakota, man convicted of Possession of Child Pornography was sentenced on October 25, 2019, by Karen E. Schreier, U.S. District Court Judge.
Jeremiah Richards, age 35, was sentenced to 4 years in federal prison, followed by 5 years of supervised release, and was ordered to pay a $100 special assessment to the Federal Crime Victims Fund and an additional $5,000 special assessment to the Victim of Human Trafficking Act of 2015.
The conviction stemmed from Richards possessing multiple child pornography videos and images on his cellular phone.
The investigation was conducted by the Internet Crimes Against Children Taskforce. Assistant U.S. Attorney Sarah Collins prosecuted the case.
Richards was immediately remanded to the custody of the U.S. Marshals Service.
Randolph County man admits to meth distributionRead the Press Release
ELKINS, WEST VIRGINIA – Matthew Logan Lipscomb, of Kerens, West Virginia, has admitted to selling methamphetamine, United States Attorney Bill Powell announced.
Lipscomb, age 30, pled guilty to one count of “Distribution of Methamphetamine.” Lipscomb admitted to selling methamphetamine, also known as “crystal meth” and “ice,” for $650 in April 2019 in Randolph County.
Lipscomb faces at least five years and up to 40 years incarceration and a fine of up to $5,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Stephen D. Warner is prosecuting the case on behalf of the government. The Mountain Region Drug and Violent Crimes Task Force investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Previously-Convicted Sex Offender Sentenced to Decades in Federal Prison for Distribution and Possession of Child PornographyRead the Press Release
PHILADELPHIA – First Assistant United States Attorney Jennifer Arbittier Williams announced that James Traband, 53, of Upland, Delaware County, PA was sentenced to 30 years in federal prison followed by lifetime supervised release by United States District Judge Harvey A. Bartle for possession and distribution of child pornography.
In 2018, the Criminal Investigation Division of the Delaware County District Attorney’s Office investigated Traband for trafficking in child pornography using his Facebook account. The investigation revealed that the defendant had created a fake profile for himself, posing as a 13-year old boy, to find and entice other minor boys into sexual activity online. He used real photos he had taken of a young boy who lived with him to lure other young boys into believing they were communicating with a boy of their same age. In reality, they were talking with Traband, a middle-aged convicted sex offender, who convinced them to engage in sexual chats and exchange sexually explicit images.
At the time he committed these offenses, Traband was a registered sex offender, having previously been convicted in Delaware County of child pornography offenses. He was also under court supervision.
The case was referred to the Federal Bureau of Investigation, and Traband was ultimately indicted and convicted of distributing and attempting to distribute child pornography and possession of child pornography.
“Traband’s days of exploiting and victimizing children online are over,” said First Assistant U.S. Attorney Williams. “Child sexual exploitation is appallingly pervasive, and exacerbated by the easy availability of digital media and communications. This case serves as a message to all adults who care for children: please monitor what they do online. And as always, we stand ready with our federal partners to identify and prosecute these criminals.”
“Child exploitation is among the most heinous crimes we investigate. As a result of our partnership with the Criminal Investigation Division of the Delaware County District Attorney’s Office, this unrepentant predator will no longer be able to harm children,” said Michael T. Harpster, special agent in charge of the Philadelphia Division. “The FBI and its law enforcement partners will never stop working to hunt down child predators and deliver justice on behalf of their victims.”
This case is part of Project Safe Childhood (PSC), a program bringing together all levels of law enforcement and the communities they serve to reduce the sexual exploitation and abuse of children. The case was investigated by the Federal Bureau of Investigation, the Delaware County District Attorney’s Office, and is being prosecuted by Assistant United States Attorney Michelle Rotella.
Omaha Woman Sentenced for Conspiracy to Distribute and Possess with Intent to Distribute MethamphetamineRead the Press Release
United States Attorney Joe Kelly announced that Brenda K. Harmon, 36, of Omaha, Nebraska, was sentenced today to 135 months in prison by United States District Court Judge Robert F. Rossiter, Jr. for conspiracy to distribute and possess with intent to distribute methamphetamine. In addition to her prison term, Harmon will serve 5 years of supervised release following her release from prison.
Beginning in January 2018, law enforcement officers began investigating Harmon for distributing methamphetamine. Undercover officers were able to buy directly from Harmon, and did so on a number of occasions. At the time of her arrest on April 27, 2018, Harmon was in possession of more than 100 grams of pure methamphetamine.
The Omaha Police Department was the investigating agency.
Omaha Gang Member Sentenced on Drug Distribution and Possession of Firearm in Drug Trafficking ChargesRead the Press Release
United States Attorney Joe Kelly announced that on November 1, 2019, Giel Riak, 21, of Omaha, was sentenced to 66 months in federal prison by United States District Judge Judge Robert F. Rossiter, Jr. for distribution of marijuana and selling two handguns in connection with drug trafficking. There is no parole in the federal system. Riak was ordered to serve five years on supervised release after the completion of his prison term. Riak is also subject to deportation following imprisonment.
On December 7, 2018, Riak sold a confidential informant marijuana and two 9mm handguns. During this buy, the informant’s vehicle was equipped with audio and video recording equipment, which captured the drug and guns sale.
This case was part of a Project Safe Neighborhood initiative and investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and Omaha Police Department as part of a larger operation to make controlled purchases of firearms and narcotics, specifically targeting members of the Trip Set and African Pride gang.
New Orleans Man Indicted for Gun OffensesRead the Press Release
NEW ORLEANS, LOUISIANA – U.S. Attorney Peter G. Strasser announced on Thursday, October 31, 2019 that MATTHEW BARRA, age 31, was charged in a one-count indictment by a Federal Grand Jury for violations of the Federal Gun Control Act.
BARRA is charged with being a felon in possession of a firearm, in violation of 18 U.S.C. § 922(g)(1). If convicted, he faces a maximum sentence of 10 years imprisonment, a $250,000 fine, and up to 3 years of supervised release. U. S. Attorney Strasser reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The case was investigated by the New Orleans Police Department and the Federal Bureau of Investigation, New Orleans Gang Task Force. It is being prosecuted by Assistant United States Attorney Melissa E. Bücher of the Violent Crime/Strike Force Unit of the U.S. Attorney’s Office.
New Jersey Man Charged in White Plains Federal Court with Narcotics Trafficking Resulting in DeathRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, William F. Sweeney Jr., Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), Keith M. Corlett, Superintendent of the New York State Police (“NYSP”), and William Worden, Chief of the Port Jervis Police Department (“PJPD”), announced today an indictment charging ROBERT CIERVO with selling fentanyl and heroin that resulted in the death of a 36-year-old Orange County resident ("the Victim").
The indictment alleges that on or about July 3, 2019, CIERVO distributed heroin and fentanyl that resulted in the death of the Victim. The indictment also alleges that CIERVO participated in a conspiracy to distribute heroin and fentanyl between October 2018 and September 2019. The grand jury returned the indictment on October 29, 2019, and CIERVO was arraigned today before United States Magistrate Judge Paul E. Davison.
CIERVO previously was arrested on September 29, 2019, and charged by complaint in White Plains federal court with participating in a conspiracy to distribute heroin and fentanyl with MARGARET FLOOD, 38, of Sparrow Bush, New York, ROBERT FLOOD, 39, of Sparrow Bush, New York, and TRAVIS HOPPER, 24, of Matamoras, Pennsylvania.
Manhattan U.S. Attorney Geoffrey S. Berman said: “Robert Ciervo allegedly sold the fentanyl that killed an Orange County resident. Now he faces prosecution for that crime and drug distribution conspiracy. Thanks to the Port Jervis Police Department, the FBI, and the State Police for their tireless efforts to stem the tide of lethal opioids.”
FBI Assistant Director William F. Sweeney Jr. said: “Those who engage in the distribution of illegal drugs destroy our communities and ruin lives, and as we allege here today, the heroin and fentanyl Ciervo distributed indeed resulted in the victim's death. This is another sad example of the reality we face – sellers pushing heroin laced with fentanyl to create a more powerful, and in this case, deadly high. The FBI’s Hudson Valley Safe Streets Task Force, along with our federal, state, and local partners, will be relentless in doing everything we can to protect our communities from the scourge of these deadly substances.”
NYSP Superintendent Keith M. Corlett said: “This indictment is the result of the dedication of law enforcement partners at all levels to stem the tide of drugs and drug related violence on our streets. This defendant allegedly knowingly sold highly addictive substances to an individual that, sadly, resulted in the individual’s death. The sale of drugs such as fentanyl and heroin perpetuate a cycle of substance abuse which poses a significant threat to safety and quality of life within our communities, and it will not be tolerated. I commend our members and our law enforcement partners for their hard work in bringing this individual to justice.”
PJPD Chief William J. Worden said: “The City of Port Jervis has been directly affected by the opiate epidemic and have tragically lost too many residents from fatal heroin/fentanyl related overdoses. The Port Jervis City Police Department is committed to working with our law enforcement partners to combat the illicit sales of heroin and fentanyl that are harming our community and hold illicit narcotics traffickers legally accountable for their actions.”
According to the allegations in the Indictment and Complaint[1]:
CIERVO participated in a conspiracy to distribute more than one kilogram of heroin and more than 40 gram of mixtures and substances containing fentanyl, between October 2018 and September 2019. In addition, on or about July 3, 2019, CIERVO distributed such substances to the Victim, and the Victim's use of the substances resulted in his death.
* * *
CIERVO, 25, of Montague, New Jersey, has been charged with participating in a conspiracy to distribute narcotics, which distribution resulted in the death of another. This charge carries a maximum sentence of life in prison, and a mandatory minimum sentence of 20 years in prison.
The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentence for the defendant will be determined by the judge.
Mr. Berman praised the outstanding work of the FBI, the Port Jervis Police Department, and the New York State Police for their investigative efforts and ongoing support and assistance with the case.
The prosecution of this case is being overseen by the Office’s White Plains Division. Assistant U.S. Attorney Lindsey Keenan is in charge of the case.
The charges contained in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the texts of the Indictment and Complaint, and the descriptions of the Indictment and Complaint set forth herein, constitute only allegations, and every fact described should be treated as an allegation.
Montgomery County Doctor Agrees to Pay $1.4 Million to Resolve Allegations of Improper Opioid Prescribing After Pleading Guilty to Related Criminal ChargesRead the Press Release
PHILADELPHIA – U.S. Attorney William M. McSwain announced that Montgomery County physician Spiro Y. Kassis, M.D., of Plymouth Township, PA, has agreed to pay $1.4 million, has committed to never obtaining a controlled substance registration, and has consented to a 15-year exclusion from Medicare and Medicaid in order to resolve allegations that he improperly prescribed Schedule II controlled substances to patients between July 1, 2014 and February 14, 2017. This civil settlement is announced after Kassis already pled guilty to criminal charges for illegal distribution of controlled substances and awaits sentencing.
The settlement resolves allegations that Kassis wrote improper Schedule II prescriptions, including opioids, for his patients when those prescriptions had no legitimate medical purpose and were not issued in the usual course of professional practice. In addition, it resolves allegations that Kassis deposited and commingled the proceeds from the sale of improper Schedule II prescriptions into various bank accounts.
Kassis has already pled guilty to 14 counts of illegal distribution of controlled substances in a related criminal case, for which he is scheduled to be sentenced in January 2020. Kassis claimed to be a specialist in psychiatry and addiction medicine, and operated medical offices in East Norriton Township, PA and Scranton, PA. He used his offices to operate a prescription “pill mill,” whereby he sold medically unnecessary prescriptions for opioids such as oxycodone. Kassis sold prescriptions to so-called patients for approximately $200 cash each. At the East Norriton office, he saw approximately 45 “patients” per day. As each person came in, he collected $200 cash from the patient, counted the money, and then issued the requested prescriptions electronically to the patient’s pharmacy. Often, Kassis issued dangerous combinations of prescriptions including oxycodone, methadone, and buprenorphine, all to the same patient.
“This settlement illustrates my Office’s dedication to ensuring that physicians who engage in illegal distribution of opioids and other controlled substances are held accountable using all of our enforcement tools, including powerful civil ones,” said U.S. Attorney McSwain. “This case is an excellent example of how collaboration between our civil and criminal divisions, as well as our federal and local law enforcement partners, can lead to just results. We will continue our aggressive pursuit of doctors who violate their duties and break the law by engaging in illegal opioid prescribing.”
“Dr. Kassis pleaded guilty to numerous federal drug distribution charges for his illegal distribution of oxycodone over a several-year period. In addition to his pending sentencing on these charges, Dr. Kassis has agreed to pay a significant settlement that represents the money he made from his illegal activities,” said Jonathan A. Wilson, Special Agent in Charge of the Drug Enforcement Administration’s (DEA) Philadelphia Field Division. “Doctors that seek to betray their professional oath and engage in this type of illegal activity will be subject to both criminal charges and significant civil penalties.”
“Settlements like these are critical to ensure that doctors writing improper opioid prescriptions reimbursed by Medicare and Medicaid are held responsible for their misconduct and barred from participating in these programs for a substantial number of years,” said Maureen R. Dixon, Special Agent in Charge for the U.S. Department of Health and Human Services, Office of the Inspector General. “HHS-OIG will continue to work with the U.S. Attorney’s Office’s Civil Division and our other law enforcement partners to ensure the integrity of the Medicare and Medicaid programs.”
“This case began as part of a larger effort to investigate a number of pill-pushing doctors in Montgomery County. This doctor, Kassis, who had taken an oath to do no harm, was in fact keeping those suffering from substance abuse addicted and in danger of overdosing through his actions, all for monetary gain,” said Montgomery County District Attorney Kevin R. Steele.
The case was investigated by the Drug Enforcement Administration; Federal Bureau of Investigation; U.S. Department of Health and Human Services – Office of Inspector General; and Montgomery County Detective Bureau’s Narcotics Enforcement Team. The civil investigation and settlement were handled by Assistant United States Attorneys Anthony D. Scicchitano and Sarah Grieb. The related criminal charges are being prosecuted by Assistant United States Attorney M. Beth Leahy and Special Assistant United States Attorney James Price, who was cross-designated by the Montgomery County District Attorney for the prosecution.
The claims resolved by the civil settlement are allegations only; there has been no determination of liability.
Missouri Man Pleads Guilty After Trying to Swap A Pipe Bomb for Meth in Columbia, IllinoisRead the Press Release
Donald K. Novy, 35, of Dittmer, Missouri, has pleaded guilty to unlawful possession of an unregistered destructive device and being an unlawful user of a controlled substance in possession of a firearm, Steven D. Weinhoeft, United States Attorney for the Southern District of Illinois, announced today. Novy faces up to 10 years in prison, a $250,000 fine, and up to three years of supervised release on each charge.
Court documents reveal that in November 2018, Novy agreed with another person to manufacture a pipe bomb and bring it to Columbia, Illinois, in exchange for methamphetamine. Unknown to Novy, the other person was working with the federal Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and was accompanied by an ATF Special Agent working in an undercover capacity. Novy accepted fake methamphetamine in exchange for the pipe bomb and was promptly arrested. Upon his arrest, ATF found a Taurus semi-automatic pistol in Novy’s possession. Novy later admitted using methamphetamine on a daily basis, including the morning of the transaction.
Novy will remain in custody pending his sentencing on Feb. 11, 2020.
Missouri Hunter Sentenced to Probation for Trafficking WildlifeRead the Press Release
United States Attorney Joe Kelly announced that Rodney Lee Owen, age 57, of Blue Springs, Missouri, was sentenced today in federal court in Omaha, Nebraska, for violations of the Lacey Act. United States Magistrate Judge Michael D. Nelson sentenced Owen to five years’ probation for trafficking wildlife, a misdemeanor. Owen was ordered to pay a fine in the amount of $25,000 and restitution in the amount of $25,000. During his term of probation, Owen will not be permitted to hunt, trap, assist or be present with anyone engaged in those activities at any location or conduct or affiliate with any filming, recording, or television or media productions related to hunting.
A joint investigation conducted by the United States Fish and Wildlife Service, Office of Law Enforcement and the Nebraska Game and Parks Commission, Law Enforcement Division determined that in the fall of 2015, 2016, and 2017, Owen traveled to Hidden Hills Outfitters, a commercial big game guiding and outfitting business located near Broken Bow, Nebraska, to conduct wildlife hunts. During the hunts, Owen and Hidden Hills Outfitters owners and employees had knowledge regarding the presence of bait at the proposed hunting locations. Under Nebraska state law, it is illegal to hunt within 200 yards of bait.
In 2015, 2016, and 2017, Owen hunted or took record-book deer within baited areas managed by Hidden Hills Outfitters including a 2015 white-tailed deer named “3-Way,” a 2016 white-tailed deer named “Dirty Harry,” and a 2017 mule deer named “Inline.” Owen initially wounded the 2017 mule deer with a bow during archery season. The following day Owen accompanied a Hidden Hills Outfitters owner and guide recovering only the deer head, cape, and antlers, and wasting the edible meat after witnessing the Hidden Hills Outfitters owner and guide unlawfully killing the deer with a rifle. Prior to the 2017 mule deer hunt, Owen also unlawfully killed a pronghorn without a valid permit.
Owen, assisted by others, recorded and submitted video recordings associated with some of the hunts to Drury Outdoors, a commercial hunting video production company, for inclusion on Drury Outdoors television shows, of which, the 2015 and 2016 hunts were featured on Drury Outdoors Dream Seasons 13 and 14 shows. The wildlife illegally taken by Owen was also subsequently transported from Nebraska to Missouri.
Owen paid Hidden Hills Outfitters for the guiding and outfitting services provided for the hunts. As part of a negotiated payment, Hidden Hills Outfitters only charged Owen approximately half the standard Hidden Hills Outfitters rate in exchange for Owen naming and promoting Hidden Hills Outfitters upon the video recordings obtained from the hunt, intended for commercial video production.
Today’s conviction marks the first formal sentencing in the ongoing prosecution of numerous defendants related to violations committed by owners, guides, and clients of Hidden Hills Outfitters. To date, nineteen defendants have pleaded guilty and have been sentenced and ordered to pay a total of $101,700 in fines and restitution for underlying violations related to deer taken within baited areas; deer, pronghorn, and wild turkeys taken with weapons or firearms prohibited during their respective hunting seasons; deer taken during closed season hours, from the road, or without a valid permit; and mule deer taken within the Mule Deer Conservation Area.
The operation was a joint investigation conducted by the United States Fish and Wildlife Service, Office of Law Enforcement and the Nebraska Game and Parks Commission, Law Enforcement Division.
Minneapolis Woman Sentenced to Prison for Tax FraudRead the Press Release
United States Attorney Erica H. MacDonald today announced the sentencing of LESSIE BEATRICE LINDSEY, 37, to one year and one day in prison for falsely claiming $1,151,585 in tax refunds. LINDSEY, who pleaded guilty on June 17, 2019, was sentenced on October 30, 2019, before Senior Judge David S. Doty in U.S. District Court in Minneapolis, Minnesota.
According to the defendant’s guilty pleas and documents filed in court, between January 2013 and March 2016, LINDSEY, who operated in Minneapolis, Minnesota and Chicago, Illinois, charged individual taxpayers a fee to prepare and file their federal income tax returns. LINDSEY routinely falsified information on the federal income tax returns she filed on behalf of her clients, including employment, income, and tax credits, in order to increase the clients’ tax refunds. In total, LINDSEY prepared approximately 192 false and fraudulent personal federal income tax returns which falsely claimed approximately $1,151,585.00 in tax refunds. LINDSEY’s conduct caused the United States Treasury to pay $995,966.00 to LINDSEY’s clients for tax years 2012, 2013, 2074, and 2015.
This case was the result of an investigation conducted by the Internal Revenue Service-Criminal Investigation Division.
Assistant U.S. Attorney Matthew S. Ebert prosecuted the case.
Defendant Information:
LESSIE BEATRICE LINDSEY, 37
Minneapolis, Minn.
Convicted:
- False claim to the United States, 1 count
Sentenced:
- One year and one day in prison
- Two years of supervised release
- $ 995,966 in restitution
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Minneapolis Gang Member Sentenced to 220 Months in Prison for Violent Drug Trafficking ConspiracyRead the Press Release
United States Attorney Erica H. MacDonald today announced the sentencing of HAKEEM MALIK DONTAE FLAX, a/k/a “Keem,” 33, to 220 months in prison for crimes related to violent gang activity, including conspiracy, distribution of heroin, and firearms violations. FLAX, who was convicted by a federal jury on February 14, 2019, was sentenced earlier today before Judge Wilhelmina M. Wright in U.S. District Court in St. Paul, Minnesota. FLAX’s co-defendants DOMONICK DESHAY WRIGHT, BRIAN FUNTANOUS MACK, and JAMES LAVELL BROWN, have also been sentenced following their guilty pleas to conspiracy to possess firearms in furtherance of a drug trafficking crime.
As proven at trial, FLAX and his co-defendants maintained active membership in the 1-9 Block Dipset Gang with the purpose of making money for the gang through criminal acts, including distribution of heroin. As part of the gang’s heroin distribution scheme, FLAX, WRIGHT, MACK, and BROWN and other members of the gang possessed, used and carried firearms in order to protect themselves from rival gang members and maintain their drug distribution territory.
As proven at trial, members of the 1-9 Block Dipset Gang were involved in a violent gang war with rival North Minneapolis gangs, including the Tre Tre Crips and the Young-N-Thuggin gangs, which resulted in the shooting deaths of gang members on both sides of the conflict. Disputes over gang territories and retaliation for prior acts of violence also contributed to the gun violence. As an example, on August 5, 2017, FLAX shot and killed a member of the rival Tre Tre Crips gang in a parking lot outside of a North Minneapolis restaurant.
This case was the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Minneapolis Police Department. This case is part of Project Safe Neighborhoods, an initiative that brings together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone.
This case was prosecuted by Assistant U.S. Attorney Thomas Calhoun-Lopez.
Defendant Information:
HAKEEM MALIK DONTAE FLAX, a/k/a “Keem,” 33
Vadnais Heights, Minn.
Convicted:
- Conspiracy to possess firearms in furtherance of a drug trafficking crime, 1 count
- Conspiracy to distribute heroin, 1 count
- Discharge of a firearm in furtherance of a drug trafficking crime, 1 count
- Felon in possession of ammunition, 1 count
Sentenced:
- 220 months in prison
- Five years of supervised release
DOMONICK DESHAY WRIGHT, a/k/a “Freaky,” 31
Brooklyn Center, Minn.
Convicted:
- Conspiracy to possess firearms in furtherance of a drug trafficking crime, 1 count
Sentenced:
- 120 months in prison
- Three years of supervised release
BRIAN FUNTANOUS MACK, a/k/a “B-Mack,” 34
Minneapolis, Minn.
Convicted:
- Conspiracy to possess firearms in furtherance of a drug trafficking crime, 1 count
Sentenced:
- 120 months in prison
- Three years of supervised release
JAMES LAVELL BROWN, 34
St. Paul, Minn.
Convicted:
- Conspiracy to possess firearms in furtherance of a drug trafficking crime, 1 count
Sentenced:
- 60 months in prison
- Three years of supervised release
###
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Mexican National Pleads Guilty to Illegal Re-EntryRead the Press Release
NEW ORLEANS – U.S. Attorney Peter Strasser announced today that JUAN ALBERTO SANCHEZ-ROMERO, age 28, pleaded guilty on October 29, 2019, to a one-count Indictment for illegal reentry of a removed alien in violation of Title 8, United States Code, Section 1326(a) & (b)(2).
According to the Indictment, SANCHEZ-ROMERO re-entered the United States after he was previously deported on April 21, 2016.
SANCHEZ-ROMERO faces a maximum term of imprisonment of twenty years, a maximum fine of $250,000, a maximum term of supervised release of three years, and a mandatory $100 special assessment. U.S. District Court Judge Greg G. Guidry set sentencing for January 28, 2020.
U.S. Attorney Strasser praised the work of the United States Department of Homeland Security in investigating this matter. Assistant U. S. Attorney Spiro G. Latsis is in charge of the prosecution.
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Mexican National Pleads Guilty to Illegal Re-EntryRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that JORGE MEJIA-COLIN, age 28, a native of Mexico, pleaded guilty October 31, 2019 to a one-count bill of information charging him with illegal re-entry of a removed alien.
According to the court documents, MEJIA-COLIN was previously removed from the United States on September 30, 2008. He was later found in the Eastern District of Louisiana on July 24, 2019, and had not received permission from the Attorney General of the United States or the Secretary of the Department of Homeland Security to reenter.
MEJIA-COLIN faces a maximum term of imprisonment of 2 years, a fine of $250,000, one year of supervised release, and a $100 special assessment fee. U.S. District Judge Barry W. Ashe set sentencing for December 12, 2019.
U.S. Attorney Strasser praised the work of Immigration and Customs Enforcement, Enforcement and Removal Operations in investigating this matter. Assistant United States Attorney Jon Maestri is in charge of the prosecution.
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Merrillville Man Sentenced to 90 Months in PrisonRead the Press Release
HAMMOND –James Caffey, age 29, of Merrillville, Indiana was sentenced before U.S. District Court Judge Theresa Springmann after being convicted during a 4-day trial in January 2019. He was convicted of conspiring to rob the United States Postal Service, announced U.S. Attorney Kirsch.
Caffey was sentenced to 90 months in prison, 2 years of supervised release and ordered to pay restitution in the amount of $5595.
According to documents in this case and evidence presented at trial, James Caffey conspired with Tanisha Banks and Leeroy Beck to rob the Tolleston Station Post Office in Gary, Indiana on August 3, 2017. Tanisha Banks, a Postal Service employee with experience working at the Tolleston Station, provided the logistics for the robbery while her boyfriend, James Caffey, handled transportation to and from the robbery. Together Banks and Caffey recruited the gunman, Leeroy Beck, who would actually carry out the robbery. At trial evidence was presented establishing that Caffey provided Beck with the handgun used during the robbery. After holding two employees at gun point, Leeroy Beck stole money and mail from the Postal Service. The cash was divided between the conspirators.
Tanisha Banks is scheduled for sentencing on November 5, 2019. Leeroy Beck was sentenced on May 14, 2019 to 96 months in prison.
This case was investigated by the United States Postal Inspection Service with assistance from the Gary Police Department. The case was prosecuted by Northern District of Indiana Assistant United States Attorneys Diane Berkowitz and Thomas McGrath.
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Marijuana Dealer Convicted in Wichita FallsRead the Press Release
In the first federal criminal trial in Wichita Falls in more than eight years, a drug dealer has been convicted of a marijuana conspiracy, announced U.S. Attorney for the Northern District of Texas Erin Nealy Cox.
Chad Anthony Ray, 31, of Wichita Falls, was indicted in July 2019 for conspiring to distribute marijuana along with six codefendants.
A jury convicted Mr. Ray late last week following a day-long trial before U.S. District Judge Reed C. O’Connor, who traveled from Fort Worth to Wichita Falls to preside over the proceedings.
According to evidence presented at trial, Mr. Ray’s coconspirators shipped marijuana through the U.S. mail from Oregon to Wichita Falls. Over an 18-month period (March 2015 to September 2016), they shipped approximately 1,100 pounds of marijuana in 443 Priority Mail parcels to Wichita Falls and surrounding cities, including Henrietta and Iowa Park.
Other conspirators received the parcels of marijuana – shipped in Priority Mail boxes so that the defendants could track the packages – then repackaged it, sold it, and returned the proceeds to the suppliers in Oregon.
“The U.S. Attorney’s Office is adamant about prosecuting illicit substances shipped through the U.S. Mail to the Northern District of Texas,” said U.S. Attorney Erin Nealy Cox. “We will not allow criminals to harm the community by exploiting the Postal Service.”
At trial, prosecutors showed that Mr. Ray personally received 29 packages of marijuana directly to his residence on Collins Avenue in Wichita Falls, collected money for marijuana sales, and tracked packages shipped to other addresses using the USPS tracking number.
He now faces up to 20 years in federal prison.
Five of his codefendants – Randall Dizon, Jonathan Michael Fernandez, Jarrett Devon Grant, Ronald Vance Latimer, and Justin Kent Reed – pleaded guilty before trial. The sixth, Dustin Weaver, remains a fugitive.
The case was investigated by the U.S. Postal Inspection Service, the Wichita Falls Police Department, and the Texas Department of Public Safety. Assistant U.S. Attorney Mary Walters and Joseph Magliolo prosecuted the case.
Manhattan U.S. Attorney Settles Fraud Suit Against Ahern Painting Contractors for False Statements About Disadvantaged Business Participation on Federal Construction ProjectsRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, Douglas Shoemaker, regional Special Agent-in-Charge of the United States Department of Transportation Office of Inspector General (“USDOT-OIG”), Margaret Garnett, the Commissioner of the New York City Department of Investigation (“DOI”), and Carolyn Pokorny, Inspector General of the Metropolitan Transportation Authority (“MTA-OIG”), announced today that the United States has settled civil fraud claims against New York-area painting contractor AHERN PAINTING CONTRACTORS CO. (“AHERN”). The settlement resolves the United States’ allegations in a False Claims Act lawsuit that AHERN fraudulently obtained payments on two federally funded construction projects by misrepresenting compliance with Disadvantaged Business Enterprise (“DBE”) rules, which require participation of businesses owned by women and minorities. Specifically, the United States alleged that AHERN misrepresented that co-defendant TOWER MAINTENANCE CORP. (“TOWER”), a certified DBE, was solely performing millions of dollars of work on the two projects when in fact much of that work was performed by co-defendant SPECTRUM PAINTING CORP. (“SPECTRUM”), a non-DBE. As part of the settlement approved by U.S. District Judge Deborah A. Batts, AHERN admits and accepts responsibility for conduct alleged in the Government’s complaint and agrees to pay $3 million to the United States. The case against defendants TOWER and SPECTRUM is ongoing.
Manhattan U.S. Attorney Geoffrey S. Berman said: “Contractors who exploit the Disadvantaged Business Enterprise program to unlawfully obtain millions of dollars in federal funding will be held to account. Today’s settlement reflects this Office’s commitment to root out fraud in federally funded contracts, so that legitimate minority- and women-owned businesses can participate in public construction projects.”
USDOT-OIG regional Special Agent-in-Charge Douglas Shoemaker said: “Today’s settlement is a positive step on the way to closing the chapter on this egregious fraud scheme involving federally funded contracts administered through the New York City Department of Transportation and the Metropolitan Transportation Authority. While the damage to the integrity of DOT’s DBE program in this instance has been done, it only serves to strengthen our resolve in pursuing those whose greed prevents the legitimate participation of disadvantaged businesses in federal contracting on public transportation projects.”
DOI Commissioner Margaret Garnett said: “Today’s multimillion-dollar settlement demonstrates that law enforcement has its sights on exposing fraud by companies that exploit City and Federal programs aimed at increasing the participation of disadvantaged businesses in public construction projects. DOI and its partners will continue to protect the integrity and effectiveness of these programs with investigations that uncover and deter dishonest conduct.”
MTA Inspector General Carolyn Pokorny said: “Disadvantaged Business Enterprise regulations enable honest competition in construction contracts by ensuring an equal and inclusive playing field for all. Today’s DBE fraud settlement highlights the commitment of the Office of the MTA Inspector General, along with all of our prosecutorial and investigative partners, towards prohibiting and rooting out discrimination.”
As alleged in the complaint filed in Manhattan federal court on March 2, 2019, AHERN was a contractor on two federally funded steel painting projects to renovate the Brooklyn Bridge and Queens Plaza. Contracts for both projects required AHERN to hire DBEs to do a percentage of the work involved and adhere to the DBE regulations. Instead of hiring qualified DBEs to perform the allotted DBE work, AHERN allowed SPECTRUM and TOWER to use TOWER’s status as a DBE to take credit for millions of dollars of work performed, managed, and supervised by non-DBE SPECTRUM. To conceal this scheme, SPECTRUM employees repeatedly identified themselves as TOWER employees in documents that AHERN passed along to supervisors on the project. AHERN and TOWER repeatedly submitted false statements and records to NYC-DOT and MTA misrepresenting that TOWER alone did all of the work allocated to DBEs and that TOWER did not hire a subcontractor to perform any of that work.
As part of the settlement, AHERN admits, acknowledges, and accepts responsibility for conduct alleged in the complaint as described below:
- Over the course of the Brooklyn Bridge and Queens Plaza projects, AHERN was aware of the following facts regarding the involvement of SPECTRUM, a non-DBE, in the projects:
- In March 2010, AHERN’s superintendent met with a TOWER manager and a SPECTRUM manager to do a walk-through of the Brooklyn Bridge worksite. AHERN’s superintendent understood that the SPECTRUM manager would assist TOWER in preparing the bid TOWER submitted for its work as a DBE subcontractor on the Brooklyn Bridge Project;
-
- In documents that AHERN received from TOWER and then submitted to Skanska in 2010, TOWER identified the individual who AHERN knew to be a SPECTRUM manager as a “TOWER VP” or as a TOWER employee working on the Brooklyn Bridge Project. In documents AHERN received from TOWER and then submitted to the MTA in 2011, TOWER identified the individual AHERN knew to be a SPECTRUM manager as TOWER’s superintendent for the Queens Plaza Project;
-
- Throughout the Brooklyn Bridge and Queens Plaza Projects, AHERN managers communicated directly with the SPECTRUM manager regarding the management and supervision of the projects, including scheduling and inspecting TOWER’s DBE work, ordering materials for TOWER’s DBE work, and payment for TOWER’s DBE work. An AHERN executive also communicated directly with SPECTRUM’s owner regarding the Brooklyn Bridge and Queens Plaza Projects.
- AHERN recklessly disregarded facts showing that SPECTRUM managed and supervised TOWER’s DBE work on the Brooklyn Bridge and Queens Plaza Projects.
-
- AHERN failed to seek clarification regarding the financial and other arrangements between TOWER and SPECTRUM or request a copy of any contract or agreement between TOWER and SPECTRUM regarding SPECTRUM’s role. If AHERN had done so, and TOWER had responded truthfully, AHERN would have learned that TOWER and SPECTRUM had entered into written agreements specifying that SPECTRUM would provide project management support and furnish equipment on the Brooklyn Bridge and Queens Plaza Projects, that TOWER and SPECTRUM would split any profits from the TOWER DBE work on the Brooklyn Bridge and Queens Plaza Projects, and that in addition to the SPECTRUM manager, two other individuals AHERN believed to be TOWER managers were in fact employed by SPECTRUM.
-
- AHERN failed to assess whether SPECTRUM’s actual involvement in the projects was substantial enough to jeopardize TOWER’s standing as a DBE performing a “commercially useful function” under the applicable DBE regulations.
Mr. Berman praised the outstanding investigative work of the USDOT-OIG, DOI, and MTA-OIG.
This case is being handled by the Office’s Civil Frauds Unit. Assistant U.S. Attorneys Mónica P. Folch, Li Yu, and David J. Kennedy are in charge of this case.
Man from Ville Platte Sentenced for Killing Endangered Whooping CraneRead the Press Release
LAFAYETTE, La. – United States Attorney David C. Joseph announced today that Magistrate Judge Carol B. Whitehurst sentenced Gilvin P. Aucoin Jr., 53, of Ville Platte Louisiana, to two years of probation, during which time he must complete 120 hours of community service related to environmental conservation and complete a hunter’s education course for violating the Migratory Bird Treaty Act by shooting a whooping crane. Also, as part of the sentence, Aucoin’s hunting and fishing privileges have been suspended for the period of his probation.
According to information presented in court, Aucoin shot at and killed a whooping crane, an endangered species, in Evangeline Parish on July 24, 2018. Aucoin saw the bird while working on a farm and shot at the bird multiple times using his rifle with an attached scope. He ultimately killed the whooping crane, leaving the bird where it fell.
“Whooping crane poaching is an offense that will be investigated thoroughly by my office and law enforcement agents,” stated U.S. Attorney David C. Joseph. “Many state and federal resources have been dedicated to ensuring the survival and stability of the whooping crane population in Louisiana, which is an endangered species and a valuable part of our ecosystem. Those who kill or attempt to kill a whooping crane in the Western District of Louisiana will pay the consequences.”
Louisiana Department of Wildlife and Fisheries (LDWF) enforcement agents cited Aucoin for the illegal shooting of the whooping crane on July 26, 2018.
The United States Fish & Wildlife Service and LDWF conducted the investigation. Assistant U.S. Attorney Danny Siefker prosecuted the case.
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Louisville Man Who Shot at LMPD Officer Sentenced to Nearly 10 Years in PrisonRead the Press Release
LOUISVILLE, Ky. – United States District Judge David J. Hale has sentenced Elijah Eubanks to 119 months in federal prison to run concurrent with Jefferson County Circuit Court Case No 18-CR-1201, and three years of supervised release for being a felon in possession of a firearm, announced United States Attorney Russell Coleman.
“The United States Attorney’s Office stands with our partners in the Jefferson County Commonwealth’s Attorney’s Office in protecting law enforcement in this city,” said U.S. Attorney Russell Coleman. “Shoot a peace officer, shoot at a peace officer, and we will seek to send you to prison for as long as the law allows.”
Eubanks, age 21, was charged by a Louisville federal Grand Jury on July 24, 2018, in a single count Indictment of being a felon in possession of a Ruger .357 caliber revolver. Eubanks pleaded guilty to the Indictment on September 16, 2019, in U.S. District Court.
The federal charge stemmed from a shooting involving a Louisville Metropolitan Police Officer on March 31, 2018. Eubanks fired at an officer who attempted to question him while he was in a vehicle with another person. Jefferson County Commonwealth’s Attorney Tom Wine’s Office previously convicted Eubanks of attempted murder for this incident.
At the time of the March 31st shooting, Eubanks had previously pleaded guilty to one count of Wanton Endangerment I and one count of Criminal Mischief I in Jefferson Circuit Court on November 2016, as part of a pre-trial diversion agreement. He was prohibited from possessing a firearm because of his guilty plea.
The case was prosecuted by Assistant United States Attorney Amanda Gregory and it was investigated by the Louisville Metro Police Department (LMPD), and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). The state case was prosecuted by Assistant Commonwealth’s Attorney Elizabeth Jones Brown, who secured a sentence of 15 years in state prison on August 22, 2018.
The U.S. Attorney’s Office is partnering with federal, state, and local law enforcement to specifically identify criminals responsible for significant violent crime in the Western District of Kentucky. A centerpiece of this effort is Project Safe Neighborhoods, a program that brings together all levels of law enforcement to reduce violent crime and make neighborhoods safer for everyone. Today’s sentencing is part of the Project Safe Neighborhoods Initiative in the Western District of Kentucky.
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Laurel County Man Sentenced to 140 Months for Armed Drug Trafficking ConspiracyRead the Press Release
LONDON, Ky. — Scott Patterson, 43, of Lily, Kentucky, was sentenced Friday to 140 months in federal prison, by United States District Court Judge Robert E. Wier, for conspiracy to traffic drugs and possessing a firearm in furtherance of drug trafficking.
Patterson pled guilty to the charges in June 2018. According to his plea agreement, Patterson was obtaining methamphetamine, Xanax, marijuana, and oxycodone and was working together with others to sell these drugs in Laurel, Whitley, and Clay Counties. Patterson also admitted to being armed during the course of his drug trafficking activities. Patterson’s involvement in drug trafficking ended on June 2018, when he was arrested after breaking into a residence while possessing a firearm, methamphetamine, Xanax pills, and about $6,000 in drug proceeds.
Patterson admitted in his plea agreement that he had been previously convicted to a felony offense related to the manufacture of methamphetamine in 2010.
Four others who participated in the conspiracy have previously pled guilty and been sentenced, including: Jake Messer (150 months), Josh Towe (121 months), Myra Vandenk (61 months), and Henry Hall (53 months). Messer, Towe, and Hall all possessed firearms in connection to their drug trafficking offenses. According to court documents, Hall’s residence was a target of a series of raids on July 4, 2018. Over $300,000 in drug proceeds from Xanax sales was seized from Hall.
The July 4, 2018 raids also included searches of the residence of Jeffrey Ghent and Ricky Melton, both of whom have also pled guilty and been sentenced as co-defendants of Patterson. From Ghent’s residence, law enforcement seized nearly 300 grams of high purity crystal methamphetamine and four firearms. From Melton’s residence, law enforcement seized methamphetamine, hydrocodone, oxycodone, Xanax, marijuana, over $27,000 in drug proceeds, and 22 firearms, 12 of which were loaded. In connection with these offenses, earlier this year, Ghent was sentenced to 110 months in prison and Melton was sentenced to 120 months.
Under federal law, each of these individuals must serve 85 percent of their prison sentence; and upon their release, they will be under the supervision of the United States Probation Office.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Tommy Estavan, Acting Special Agent in Charge for the ATF Louisville Field Division; Richard Sanders, Commissioner of Kentucky State Police; Chris Fultz, Chief of Manchester Police Department; Patrick Robinson, Clay County Sheriff; Col. Rusty Hedrick, Chief of Corbin Police Department; and Roger W. Bird, Chief of Williamsburg Police Department, jointly made the announcement.
The investigation was conducted by ATF, Kentucky State Police, the Manchester Police Department, the Clay County Sheriff’s Department, the Corbin Police Department, and the Williamsburg Police Department. The United States was represented by Assistant United States Attorney Andrew H. Trimble.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The PSN program was reinvigorated as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Kutztown Man Convicted at Trial on Child Pornography ChargesRead the Press Release
PHILADELPHIA – First Assistant United States Attorney Jennifer Arbittier Williams announced that John Krasley, 51, of Kutztown, PA, was convicted at trial of distributing, transporting, receiving and accessing child pornography after a week-long trial in Easton, PA.
Between March of 2013 and June of 2018, the defendant used various websites to access and share password-protected child pornography files on an almost daily basis. On six separate occasions, Krasley granted access to folders containing child pornography to undercover law enforcement officers. In addition, using electronic surveillance, agents identified further instances of child pornography access and distribution. All of these incidents occurred using the password-protected internet connection at Krasley’s residence in Kutztown.
“Krasley’s years-long history of exploiting the victimization of children online are over,” said First Assistant U.S. Attorney Williams. “Child sexual exploitation is appallingly pervasive, and exacerbated by the easy availability of digital media and communications. Further, the ability to hide this type of activity online can make these cases even more difficult to investigate and prosecute. As always, we stand ready with our federal partners to identify and prosecute these criminals.”
“Child exploitation investigations continue to be one of HSI’s highest investigative priorities,” said Marlon Miller, special agent in charge of HSI Philadelphia. “Crimes against children impact all of us and have far reaching consequences. HSI will continue working with our federal, state and local partners to identify arrest and prosecute anyone who trades in this vile material.”
This case is part of Project Safe Childhood (PSC), a program bringing together all levels of law enforcement and the communities they serve to reduce the sexual exploitation and abuse of children. The case was investigated by Homeland Security Investigations, and is being prosecuted by Assistant United States Attorney Albert S. Glenn.
Koreatown Man Arrested on Federal Charges that He Coerced Girls He Met Online into Sending Him Sexually Explicit SelfiesRead the Press Release
LOS ANGELES – Law enforcement this morning arrested a Los Angeles man on child sexual exploitation charges alleging that he met at least eight teenage girls on the internet and pressured them – sometimes by threatening suicide – into sending him sexually explicit images of themselves.
Francisco Sanchez, 30, of Koreatown, is scheduled to be arraigned this afternoon on an 11-count federal grand jury indictment in United States District Court in downtown Los Angeles.
Sanchez is charged in the indictment with seven counts of production of child pornography, one count of distribution of child pornography, one count of possession of child pornography, and two counts of cyberstalking.
According to the indictment, between January 2014 and September 2016, Sanchez, posing as a teenage boy, contacted teenage girls online, using the pseudonym “Eddie Nash” to conceal his identity. He allegedly coerced some of them into producing sexually explicit photos and videos of themselves, sometimes by threatening suicide or threatening to post compromising pictures of the girls online.
In June 2016, Sanchez, while concealing his identity, allegedly sent a victim a text message and threatened to make her “internet famous” if she continued to ignore him. When the victim replied, “If you do that u will get arrested for child pornography,” Sanchez texted back, “so, but u will be famous” and “so be nice to me, i love u so much, i dont want to hurt u,” the indictment alleges.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
The charge of production of child pornography carries a 15-year mandatory minimum federal prison sentence. The charge of distributing child pornography carries a mandatory minimum sentence of five years in federal prison. If convicted of all charges, Sanchez would face a statutory maximum sentence in excess of 200 years in federal prison.
This matter was investigated by the FBI and the Los Angeles Child Exploitation and Human Trafficking Task Force.
This case is being prosecuted by Assistant United States Attorneys Damaris Diaz of the Violent and Organized Crime Section, and Julia S. Choe of the Cyber and Intellectual Property Crimes Section.
Knox County Man Sentenced to 121 Months for Methamphetamine Trafficking ConspiracyRead the Press Release
LONDON, Ky. – James Mills, of Barbourville, Kentucky, was sentenced Thursday to 121 months in federal prison, by United States District Judge Robert E. Wier, for conspiracy to distribute 50 grams or more of methamphetamine.
James Mills pled guilty in July 2019. According to his plea agreement, Mills admitted to conspiring with others to distribute methamphetamine in Knox County, between December 2017 and September 2018. Mills also admitted, on one occasion, in July 2018, he distributed over 150 grams of high-purity methamphetamine.
Under federal law, James Mills must serve 85 percent of this prison sentence and will be under the supervision of the U.S. Probation Office for five years following his release.
Travis Mills and Gretchen Delph have both pled guilty to charges connected to the same conspiracy. Mills will be sentenced on December 30, and Delph will be sentenced on December 9.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; James Robert Brown Jr., Special Agent in Charge of the FBI; and Darrel Kilburn, Chief of the London Police Department, jointly made the announcement. The United States was represented by Assistant United States Attorney Andrew H. Trimble.
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Jury convicts Conrad man of firearms violationRead the Press Release
GREAT FALLS – A jury convicted a Conrad man of illegal possession of a shotgun and ammunition on Thursday following a two-day trial, U.S. Attorney Kurt Alme said.
The jury found Joseph William Webb, 27, guilty of felon in possession of a firearm and ammunition. The trial began on Wednesday.
U.S. District Judge Brian M. Morris presided and set sentencing for Feb. 13. Webb was released pending further proceedings.
Webb faces a maximum 10 years in prison, a $250,000 fine and three years of supervised release.
“As a convicted felon, Mr. Webb’s unlawful possession of a shotgun posed a danger to our community. Offenders illegally possessing firearms will be prosecuted to the full extent of the law. I want to thank Assistant U.S. Attorneys Paulette Stewart and Kalah Paisley and the rest of the prosecution team, the Montana Highway Patrol and the Great Falls Police Department for their work on this case,” U.S. Attorney Kurt Alme said.
At trial, prosecutors presented evidence that Webb illegally possessed a shotgun and ammunition after having been convicted of a felony in California in September 2017. Webb was charged after a Montana Highway Patrol trooper stopped a vehicle Webb was driving for speeding on Interstate 15 in Cascade County on Aug. 25, 2018. The trooper saw a shotgun in plain view in the back seat. The vehicle had been traveling 93 mph in a posted 80 mph zone. A MHP dispatcher checking Webb’s driving information advised the trooper that Webb was on probation out of California and was prohibited from possessing firearms.
Webb told the trooper the firearm was in the vehicle when he bought it and that he had moved the shotgun from the trunk to the backseat. Webb consented to a search of the vehicle, and the trooper seized the firearm, a 16 gauge shotgun, along with 10 shotgun shells. The prosecution evidence showed that Webb knew he was a convicted felon on state supervision.
Assistant U.S. Attorneys Paulette Stewart and Kalah Paisley prosecuted the case, which was investigated by the Montana Highway Patrol and the Great Falls Police Department.
The case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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Jacksonville Man Pleads Guilty to Killing A SawfishRead the Press Release
Jacksonville, Florida – Chad Ponce (38, Jacksonville) today pleaded guilty to killing an endangered species. Ponce faces a maximum penalty of one year in federal prison and a $50,000 fine. A sentencing date has not yet been set.
Sawfishes are a family of rays characterized by a long, narrow, flattened rostrum, or nose extension, lined with sharp teeth, arranged in a way that resembles a saw. They are among the largest fish, with some species reaching lengths of up to 17 feet. The fish are found in meaningful numbers only in the southeastern United States, primarily the southwest coast of Florida (smalltooth), and in Australia (largetooth). At one time, both species were found worldwide, throughout tropical and subtropical regions in coastal marine and estuarial waters, as well as freshwater rivers and lakes. In Florida, the smalltooth sawfish is dependent on estuarial mangrove waters on the southern and southwest borders of the state. It is there that they breed and give birth. The sawfish has been recognized as an endangered species since May 1, 2003.
Sawfish are generally harmless to humans, although they can inflict serious injury with their saws if threatened. The rostrum of the sawfish is used by the animal to locate and disable its prey, and is believed to carry sensory cells that assist it in orienting itself to time and location. The smalltooth sawfish cannot survive without its rostrum. On July 18, 2018, Ponce was seen removing the rostrum from a live 12-foot smalltooth sawfish with a power saw aboard his fishing vessel off the coast of Ponte Vedra, Florida.
This case was investigated by the National Oceanic and Atmospheric Administration and the Florida Wildlife Commission. It is being prosecuted by Assistant United States Attorney Jay Taylor.
Ithaca Man Facing Multiple Child Pornography ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Michael J. Truesdail, 38, of Ithaca, NY, was charged by criminal complaint with receipt and distribution of child pornography, and possession of child pornography involving prepubescent minors. The charges carry a maximum penalty of 20 years in prison, and a $250,000 fine.
Assistant U.S. Attorney Meghan K. McGuire, who is handling the case, stated that according to the complaint, on March 27, 2019, a federal search warrant was executed at the defendant’s Henry Street residence. A number of electronic items were seized including two computers, a hard drive, an SD card, and two thumb drives. A forensic analysis recovered more than 1600 images of child pornography and nine video files, some of which depict children engaged in sexual activity with other children and with adults.
The defendant made an initial appearance before U.S. Magistrate Judge Marian W. Payson and was released.
The complaint is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Informational: Federal Court arraignmentsRead the Press Release
The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:
Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on Oct. 29 was:
Robert Earnest Frazier II, 44, of Laurel, on charges of conspiracy to possess with intent methamphetamine, possession with intent to distribute meth and possession of a firearm in furtherance of a drug trafficking crime. If convicted of the most serious crime, Frazier faces a minimum mandatory 10 years to life in prison, a $10 million fine and at least five years of supervised release. Frazier was detained pending further proceedings. The Eastern Montana High Intensity Drug Trafficking Area Task Force investigated the case. Pacer case reference. 19-128.
Anthony Pretty On Top, 34, of Lodge Grass, on charges of failure to register as a sex offender. If convicted of the most serious crime, Pretty On Top faces a maximum 10 years in prison, a $250,000 fine and five years to life of supervised release. Pretty On Top was detained pending further proceedings. The U.S. Marshals Service investigated the case. Pacer case reference. 19-135.
Christina Nicole Deharo, 28, of Billings, on charges of prohibited person in possession of a firearm and false statement. If convicted of the most serious crime, Deharo faces a maximum 10 years in prison, a $250,000 fine and three years of supervised release. Deharo was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. Pacer case reference. 19-127.
Appearing on Oct. 30 was:
Aljay Michael Bighair, 31, of Lame Deer, on charges of possession of a firearm not registered in National Firearms Registration. If convicted of the most serious crime, Bighair faces a maximum 10 years in prison, a $10,000 fine and three years of supervised release. Bighair was detained pending further proceedings. The FBI investigated the case. Pacer case reference. 19-125.
Appearing in Great Falls before U.S. Magistrate Judge John T. Johnston and pleading not guilty on Oct. 31 was:
Alonzo First Rider, 24, of Cut Bank, on charges of possession with intent to distribute meth and distribution of meth near an elementary school. If convicted of the most serious crime, First Rider faces a minimum mandatory five years to 40 years in prison, a $5 million fine and five years of supervised release. First Rider was detained pending further proceedings. The Drug Enforcement Administration and the Bureau of Indian Affairs investigated the case. Pacer case reference. 19-56.
Appearing in Missoula before U.S. Magistrate Judge Kathleen DeSoto and pleading not guilty on Oct. 31 was:
Bryan Berg, 35, of Spokane, WA, on charges of Lacey Act Violation: illegal transportation of grizzly bear claws and failure to report. If convicted of the most serious crime, Berg faces a maximum one year in prison, a $10,000 fine and one year of supervised release. Berg was released pending further proceedings. The U.S. Fish and Wildlife Service investigated the case. Pacer case reference. 19-47.
Appearing on a criminal complaint for an initial appearance on Oct. 31 was:
Raymond Girhart Bouldin, 37, of Missoula, on charges of drug user in possession and possession of an unregistered firearm. If convicted of the most serious crime, Bouldin faces a maximum 10 years in prison, a $250,000 fine and three years of supervised release. Bouldin was detained pending further proceedings. The FBI, Bureau of Alcohol, Tobacco, Firearms and Explosives, Missoula Police Department Street Crimes Unit, Montana Regional Violent Crime Task Force and the Missoula County Sheriff’s Office investigated the case. Pacer case reference. 19-69.
If any of the above cases are of interest to your media organization and the community it serves, we encourage you to monitor the progress of the case regularly through the U.S. District Court calendar and the PACER system.
To establish a PACER account, which will allow you to review documents filed in the case, please go to, http://www.pacer.gov/register.html. To access the district court’s calendar, please go to https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
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Hot Springs Man Sentenced to 5 Years in Federal Prison for Bank FraudRead the Press Release
Hot Springs, AR – Duane (DAK) Kees, United States Attorney for the Western District of Arkansas, announced that Berry Roland Bishop, age 67, was sentenced today to serve 60 months in federal prison followed by 3 years of supervised release for his conviction on one felony count of Bank Fraud. The Honorable Susan O. Hickey presided over the sentencing hearing in the United States District Court in Hot Springs.
According to court records, in 2011, Bishop was the president and sole owner of Alliance Insurance Group of Arkadelphia and the president of M&B Insurance Properties, Incorporated. An investigation by the FBI revealed that Bishop misrepresented his financial condition to induce Citizens Bank to extend him loans that would not have otherwise been authorized. Bishop also forged the signatures of his insurance agency clients to obtain loans from the Bank of Prescott without the authorization or permission of those clients. The fraudulent loans obtained by Bishop exceeded $3.5 million dollars.
To improve the cash flow of his business, Bishop misrepresented his financial condition to induce Citizens Bank to extend him loans. Bishop represented that M&B properties had no liabilities when, in fact, he was concealing an outstanding $150,000 mortgage and an outstanding $150,000 liability for the assignment of rents. Because Bishop misrepresented the liabilities and net value of M&B, he induced Citizens Bank to delay repayment of a $200,000 loan in 2017 and 2018. That loan has never been repaid.
Bishop also induced the Bank of Prescott to extend him loans. Bishop entered into loan agreements on his clients’ behalf without their knowledge or authorization by offering the value their insurance policies as collateral to the Bank of Prescott. In furtherance of this scheme, Bishop forged the signatures of his clients without their knowledge or authorization.
Bishop was named in an Information filed in December 2018, in the Western District of Arkansas, Hot Springs Division, and entered his guilty plea in December 2018.
The investigation was conducted by the FBI. Assistant United States Attorneys Benjamin Wulff and Aaron Jennen prosecuted the case for the United States.
Honduran Man Sexually Abused Child after Illegally Reentering U.S.Read the Press Release
NORFOLK, Va. – An illegal alien with a recent conviction for sexually abusing a child pleaded guilty yesterday to illegally reentering the United States.
According to court documents, in May 2015, Juan Carlos Gomez-Guevara, 31, a Honduran national, was deported at taxpayer expense after being found illegally in the United States. In March, he was arrested by the Norfolk Police Department and charged with contribute to delinquency of a minor and sexual assault of a child. In September 2019, Gomez-Guevara was convicted in Norfolk Circuit Court of carnal knowledge of a child between 13 and 15 years of age.
Gomez-Guevara pleaded guilty to illegal reentry of a removed alien and faces a maximum penalty of two years in prison when sentenced on February 5. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Russell Hott, Field Office Director for U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington, D.C., made the announcement after U.S. District Judge Raymond A. Jackson accepted the plea. Assistant U.S. Attorney Elizabeth M. Yusi is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:19-cr-61.
Harrison County man admits to firearms violationRead the Press Release
CLARKSBURG, WEST VIRGINIA – Robert Given, Jr., of Lost Creek, West Virginia, has admitted to a firearms violation, United States Attorney Bill Powell announced.
Given, age 47, pled guilty to one count of “Possession of Machinegun.” Given admitted to having a machine gun in February 2019 in Harrison County.
Given faces up to 10 years incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
This case was brought as part of Project Safe Neighborhoods (PSN). Project Safe Neighborhoods is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Assistant U.S. Attorney Traci M. Cook is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives, the Harrison County Sheriff’s Office, Marion County Sheriff’s Office, the Clarksburg Police Department, and the Bridgeport Police Department investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Harlan County Man Sentenced to 181 Months for Armed Methamphetamine TraffickingRead the Press Release
LONDON, Ky. – Travis Napier, 26, of Harlan County, was sentenced Friday to 181 months in federal prison, by United States District Judge Robert E. Wier, for charges related to armed methamphetamine trafficking.
According to Napier’s plea agreement, on three occasions between February and June of 2018, his vehicle was stopped and searched, and law enforcement discovered a box containing multiple ounces of methamphetamine. Napier admitted that on two of those occasions, the box also contained a firearm and ammunition. On the third stop, a firearm was found elsewhere in the vehicle, along with a hatchet, brass knuckles, and nun chucks. The investigation revealed that, for more than a year, Napier had been traveling to Louisville to obtain methamphetamine, and returning to sell it in Harlan County.
Napier’s co-conspirator, James Southard, was previously convicted and sentenced to 125 months in prison for his role in the offense.
Under federal law, Napier and Southard must serve 85 percent of their prison sentences and will be under the supervision of the U.S. Probation Office for five years following their release.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Dan Dodds, Acting Special Agent in Charge of the DEA Louisville Field Division; Richard Sanders, Commissioner of Kentucky State Police; Mike Smith, Knox County Sheriff; Leslie Smith, Harlan County Sheriff; and Winston Tye, Chief of the Barbourville Police Department, jointly announced the sentence. The United States was represented by Assistant U.S. Attorney Andrew H. Trimble.
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Hammond Man Pleads Guilty to Violating the Federal Controlled Substances ActRead the Press Release
NEW ORLEANS, LOUISIANA – U.S. Attorney Peter G. Strasser announced that ADAM LUMPKIN, age 35, a resident of Hammond, Louisiana, pled guilty on October 22, 2019, to possession with intent to distribute 50 grams or more of actual methamphetamine.
According to court documents, LUMPKIN possessed with intent to distribute methamphetamine in Hammond, Louisiana, on December 14, 2018. LUMPKIN faces a mandatory minimum term of imprisonment of 10 years and a maximum of life imprisonment, a fine of up to $10,000,000.00, and at least five years of supervised release following any term of imprisonment.
U.S. District Judge Greg Guidry set sentencing for LUMPKIN on January 28, 2020.
U.S. Attorney Strasser praised the work of the United States Drug Enforcement Administration, Tangipahoa Parish Sheriff’s Office, and Hammond Police Department. Assistant United States Attorney Paige O’Hale is in charge of the prosecution.
Fresno Man Arrested for Investment Fraud, Bank Fraud, and Tax EvasionRead the Press Release
FRESNO, Calif. — A Fresno man was arrested today at his home following an eight-count indictment by a federal grand jury for wire fraud, bank fraud, and evading payment of taxes, U.S. Attorney McGregor W. Scott announced.
According to court documents, Kenneth Shane Patterson, 42, convinced a Southern California small business owner to give him more than $1 million over approximately 31 months so Patterson could buy a skilled nursing facility in Pasadena. Patterson promised to then sell the facility to the business owner at well below market value. Patterson told the business owner that he needed the money to clear liens and pay other expenses so the deal would close. In reality, Patterson never pursued buying the facility and spent the money on other business ventures and personal expenses.
Court documents also state that, in addition to defrauding the business owner, Patterson defrauded Bank of America by writing two checks totaling $230,000 from Patterson’s business account at JPMorgan Chase to another of his business accounts at Bank of America. The Chase account’s balance at the time was less than $10,000. After writing the checks, Patterson quickly transferred and spent the deposited funds before Bank of America realized Patterson’s check had bounced. Bank of America sustained a loss of approximately $150,000.
According to the indictment, Patterson evaded paying federal income tax from tax years as far back as 2003 through various methods of evasion, including having no personal bank accounts, incurring expenses on accounts not in his name, and dealing in a high volume of cash.
This case is the product of an investigation by the Federal Deposit Insurance Corporation, the Federal Bureau of Investigation, and Internal Revenue Service-Criminal Investigation. Assistant U.S. Attorneys Vincente Tennerelli and David Gappa are prosecuting the case.
If convicted, Patterson faces a maximum statutory penalty of 30 years in prison and a $1 million fine for the bank fraud charge, a maximum statutory penalty of 20 years in prison and a $250,000 fine for the wire fraud counts, and a maximum statutory penalty of five years and a $100,000 fine for the tax evasion count. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Founder of “Closed Mouth Gang” Sentenced to PrisonRead the Press Release
RICHMOND, Va. – A Richmond man was sentenced today to eight years in prison for possession of a firearm while being a convicted felon.
According to court documents, in February, Richmond Police encountered Gary Garrison, 25, trespassing in the Creighton Court area of Richmond. Officers were aware that Garrison was a felon and member of the “Closed Mouth Gang” (CMG), a gang based in Creighton Court. As officers approached in their patrol vehicle, they observed a bulge in Garrison’s jacket pocket as he tried to turn his body away from them. One of the officers exited the vehicle to approach Garrison when he began to flee. Officers made chase and apprehended Garrison, finding a stolen firearm in his jacket pocket. Following his arrest, Garrison admitted to having started CMG in 2016, and identified his brother, Gregory Garrison, as a member of the gang.
Approximately one week after Garrison was arrested, fellow gang members and brothers Todd Jones, Jr., and Tod’Quan Jones, shot an individual that they erroneously believed had alerted police to Garrison carrying the firearm. Prior to that shooting and while Garrison was in Richmond City Jail, Garrison called the Joneses and they discussed whether the shooting victim had caused Garrison’s arrest. While still on the phone call, the Joneses told Garrison that they were looking at the victim right then. Garrison encouraged the men to shoot the victim in retaliation for Garrison’s arrest.
During the sentencing, the Court found that Garrison founded CMG and that he condoned the Joneses’ shooting the victim.
The Jones brothers have each been found guilty in state court of malicious wounding and gang participation relative to the shooting. Gregory Garrison pleaded guilty to carjacking on August 2, and is scheduled to be sentenced on November 12.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, David W. Archey, Special Agent in Charge of the FBI’s Richmond Field Office, and William C. Smith, Interim Chief of Richmond Police, made the announcement after sentencing by U.S. District Judge John A. Gibney, Jr. Assistant U.S. Attorney Stephen E. Anthony prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:19-cr-64.
Former Silver Spring Physician Sentenced to Two Years in Federal Prison for Fraudulently Obtaining over Half a Million Dollars of Her Deceased Mother’s Retirement BenefitsRead the Press Release
Greenbelt, Maryland – U.S. District Judge Paula Xinis today sentenced Crystal Mebane McGinty, age 59, of Silver Spring, Maryland, to two years in prison, followed by three years of supervised release, for mail fraud and for theft of government property in connection with a scheme to obtain over $517,000 of her deceased mother’s social security and City of New York teachers’ retirement benefits. Judge Xinis also ordered McGinty to forfeit and pay restitution in the form of a money judgment of $517,000.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur and Special Agent in Charge Michael McGill of the Social Security Administration (SSA) - Office of Inspector General, Philadelphia Field Division.
“This prosecution demonstrates that we will not tolerate criminals who lie, cheat, and steal to obtain benefits to which they are not entitled. Crystal McGinty will now serve two years in federal prison, where there is no parole—ever. She not only defrauded the Social Security Administration, but all law-abiding citizens, and I am hopeful that this sentence will deter others who may be tempted to do the same,” said U.S. Attorney Robert K. Hur.
According to her plea agreement, during the course of the fraud McGinty worked as a physician at practices in Maryland and Washington, D.C. McGinty’s mother died on June 17, 2005, and McGinty was listed as the informant on the death certificate.
McGinty admitted that from June 2005 through June 2018, she engaged in a scheme to commit mail fraud and theft of government property by spending her deceased mother’s Social Security Administration (SSA) retirement payments and Teachers’ Retirement System of the City of New York (TRSCNY) pension payments. McGinty did not disclose and concealed her mother’s death from TRSCNY and the SSA, in part, by posing as her deceased mother, in order to continue receiving her mother’s retirement payments.
As detailed in the plea agreement, McGinty deposited her mother’s TRSCNY checks, which were mailed to McGinty’s home, into a joint checking acount. The checks bore McGinty’s signature and her mother’s signature. McGinty’s mother’s SSA payments were also deposited into that bank account. Further, TRSCNY records show that from 2012 to 2017, McGinty signed and submitted several proof-of-life forms to TRSCNY, including some in which she identified herself as her deceased mother’s physician, in order to continue to receive her mother’s retirement benefits. TRSCNY records also show that after they stopped mailing her mother’s pension checks, McGinty called TRSCNY on May 31, 2016, posing as her deceased mother and provided her deceased mother’s identifying information, in an effort to get the pension benefits reinstated.
Further, McGinty admitted that she routinely withdrew her deceased mother’s TRSCNY and SSA retirement benefits from the bank through cash withdrawals or by transferring the funds to her personal accounts each month. McGinty used the funds to pay for the mortgage and utility bills at her Silver Spring home, renewal of her medical license, department store purchases, tuition at a private high school in Washington, D.C., international and domestic travel, and a cruise vacation.
According to public records, the Maryland Board of Physicians suspended McGinty’s license on January 17, 2019, and McGinty permanently surrendered her license on April 23, 2019.
United States Attorney Robert K. Hur commended the SSA Office of Inspector General for its work in the investigation. Mr. Hur thanked Special Assistant U.S. Attorney Michael F. Davio, who prosecuted the case.
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Former Albany Attorney Sentenced to 68 Months for Defrauding Clients, Law FirmRead the Press Release
ALBANY, NEW YORK – Albert Hessberg III, age 64, a disbarred attorney residing in Slingerlands, New York, was sentenced today to 68 months in prison for stealing at least $2 million in the course of defrauding his former clients and law firm.
The announcement was made by United States Attorney Grant C. Jaquith and James N. Hendricks, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation.
Hessberg worked for 37 years in the Albany office of the law firm now known as Barclay Damon LLP (“Barclay”), practicing in the area of trusts and estates. The Syracuse-based law firm terminated Hessberg for cause in March 2018.
Starting in 2006 and continuing until his termination, Hessberg defrauded Barclay and law firm clients, by: stealing at least $2,060,803 entrusted to him as fiduciary and trustee for his clients; stealing funds from one client to replenish the account of another client from whom he had previously stolen; billing clients and receiving payments for legal services he did not perform; and stealing payments for legal services that should have been made to Barclay.
United States Attorney Grant C. Jaquith stated: “Today’s sentence holds Albert Hessberg accountable for a 12-year crime spree and a staggering amount of betrayal by an attorney. Hessberg did not care about his clients, their heirs, or his oath to faithfully discharge his obligations as an attorney when he stole $2 million. Lawyers must be held to society’s highest standards, and we will not waver in our efforts to hold them accountable when they commit serious crimes.”
FBI Special Agent in Charge James N. Hendricks stated: “Albert Hessberg spent 12 years deliberately stealing from his clients and lying to their families. He showed a despicable disregard for the very oath he took as an attorney and now he's facing the consequences. The FBI will continue to work with our partners to ensure this kind of malicious behavior is investigated and prosecuted.”
Hessberg pled guilty in May to 1 count each of wire fraud, mail fraud and filing a false tax return.
United States District Judge Mae A. D’Agostino also imposed a 2-year term of supervised release, and ordered Hessberg to pay $2,638,147.40 in restitution, and to forfeit $2,060,803.40 to the government. In sentencing Hessberg, she noted that he acted in a “ruthless and predatory fashion.”
In November 2018, the Appellate Division, Third Department suspended Hessberg from the practice of law, and followed with an order of disbarment in June 2019.
This case was investigated by the FBI and Internal Revenue Service-Criminal Investigation, and was prosecuted by Assistant U.S. Attorney Michael Barnett.
East Bay Firearms Trafficker Sentenced to Three Years in Prison for Being Alien in Possession of A Firearm and AmmunitionRead the Press Release
OAKLAND – Victor Covian-Perez was sentenced to 36 months in prison today for being an alien in possession of a firearm and ammunition, announced United States Attorney David L. Anderson and Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) Special Agent in Charge Rayfield Roundtree. The sentence was handed down by the Honorable Yvonne Gonzalez Rogers, United States District Judge.
Covian-Perez, 23, of Oakland, pleaded guilty to the firearm charge on July 18, 2019. According to his plea agreement, Covian-Perez admitted that on November 29, 2018, he possessed three firearms and numerous rounds of ammunition, including a semi-automatic Springfield Armory XD .45 caliber handgun and two Charter Arms .38 caliber revolvers. At the time, Covian-Perez was unlawfully and illegally in the United States and not eligible to possess a firearm or ammunition. Covian-Perez further admitted that the government could prove that he possessed and sold approximately fifteen additional firearms between June and November 2018 that he sold to persons whose possession of a firearm would be illegal. At sentencing, Judge Gonzalez Rogers assessed an enhancement against Covian-Perez for trafficking firearms and another enhancement for possessing between eight and twenty-four firearms.
On July 16, 2019, Covian-Perez was charged by superseding indictment with being an alien in possession of a firearm, in violation of 18 U.S.C. § 922(g)(5). Covian-Perez pleaded guilty to the charge.
In addition to the prison term, Judge Gonzalez Rogers ordered Covian-Perez to serve a three-year term of supervised release to begin at the conclusion of his prison term.
Assistant United States Attorney Thomas R. Green is prosecuting the case with the assistance of Jessica Rodriguez. The prosecution is the result of an investigation by the ATF.
DuBois, PA Man Pleads Guilty to Distribution and Possession of Child PornographyRead the Press Release
JOHNSTOWN, Pa. – A resident of DuBois, Pa., pleaded guilty in federal court to charges violating child pornography laws, United States Attorney Scott W. Brady announced today.
Darren J. Salgado, 34, pleaded guilty to the indictment before United States District Judge Kim R. Gibson.
In connection with the guilty plea, on October 17, 2016, Salgado knowingly distributed pictures and/or videos in an individual computer graphic file depicting a minor engaging in sexually explicit conduct. Further, on June 28, 2017, Salgado possessed images of minors engaged in sexually explicit conduct, which were produced using prepubescent minors engaging in sexually explicit conduct. The computer graphic files were shipped or transported in interstate or foreign commerce.
Judge Gibson scheduled sentencing for Apr. 2, 2020, at 10:00 a.m. The law provides for a maximum sentence of 40 years in prison and a fine of $500,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Maureen Sheehan-Balchon is prosecuting this case on behalf of the government.
The Department of Homeland Security, Homeland Security Investigations, conducted the investigation that led to the prosecution of Salgado.
Drug Trafficker Convicted for Dealing PCP in North PhiladelphiaRead the Press Release
PHILADELPHIA – First Assistant U.S. Attorney Jennifer Arbittier Williams announced that Anthony Hall, 45, of Philadelphia, PA was convicted of conspiracy to distribute PCP and other substantive drug charges following a trial which lasted a week and a half.
The defendant was a member of a large drug trafficking organization (DTO) which sold the drug PCP in bulk on the streets of Philadelphia for at least six months in 2015. After a lengthy investigation, evidence presented at trial showed that the DTO utilized a property on North Broad Street, just blocks from Temple University, from which it ran a 24/7 operation using numerous distributors in the immediate vicinity.
The investigation and prosecution of this DTO dates back years. Members of the DTO were originally indicted in 2015 under the caption United States v. Nayeem Gordon, et al. Thereafter, the grand jury returned a Superseding Indictment with additional drug trafficking charges against a total of fourteen defendants in 2019. After most of those defendants pled guilty, defendant Hall was the lone member of the group to go to trial.
“Hall and other members of this drug organization pumped huge quantities of a highly toxic, hallucinogenic, and often deadly drug into our community,” said First Assistant U.S. Attorney Williams. “Drug trafficking delivers destruction to our communities. As is evident by the many years spent prosecuting this case, our Office is determined to investigate and convict these criminals, and put them behind bars.”
Hall faces a significant sentence in excess of the mandatory minimum under federal sentencing guidelines.
The case was investigated by the Drug Enforcement Administration with assistance from the Pennsylvania Attorney General’s Gun Violence Task Force and is being prosecuted by Assistant United States Attorneys MaryTeresa Soltis and Anthony Wzorek.
Dominican National Sentenced for Role in Large-Scale Heroin Trafficking OrganizationRead the Press Release
BOSTON – A Dominican national was sentenced yesterday in federal court in Springfield for his role in a large-scale heroin trafficking organization.
Mirelvy Vasquez, 29, a Dominican national who previously resided in Springfield, was sentenced by U.S. District Court Judge Mark G. Mastroianni to 54 months in prison and three years of supervised. Vasquez will face deportation proceedings upon completion of his sentence. In July 2019, Vasquez pleaded guilty to conspiracy to distribute and possession with intent to distribute heroin. Vasquez and 17 co-defendants were indicted on heroin conspiracy charges in August 2017.
Vasquez purchased large amounts of heroin, which he then distributed to various retail-level dealers in the Springfield area, from Alberto Marte, the leader of the Springfield-based drug trafficking organization. Vasquez admitted to purchasing between one and three kilograms of heroin from Marte on various occasions beginning in January 2016 and continuing through September 2016. Vasquez then repackaged his purchases into dosage units for further distribution.
Marte had direct contact with heroin supply sources in the Dominican Republic. On a monthly basis, members of the organization transported between eight and 20 kilograms of heroin to the Springfield area.
Marte and five other co-conspirators have pleaded guilty and are awaiting sentencing. The remaining defendants have pleaded not guilty.
United States Attorney Andrew E. Lelling; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration’s New England Field Division; Jason Molina, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Hampden County District Attorney Anthony D. Gulluni; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; Springfield Police Commissioner Cheryl Clapprood; Chicopee Police Chief William Jebb; Holyoke Police Chief Manny Febo; and West Springfield Police Chief Ronald Campurciani made the announcement today. Assistant U.S. Attorney Neil Desroches of Lelling’s Springfield Branch Office is prosecuting the cases.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Dominican National Sentenced for Identity TheftRead the Press Release
BOSTON – A Dominican national was sentenced today in federal court in Boston for Social Security fraud and aggravated identity theft.
Alejandro Yoel Diaz Diaz, 28, a Dominican national formerly residing in Lawrence, was sentenced by U.S. District Court Judge Richard G. Stearns to two years and one day in prison. Diaz Diaz will be subject to deportation proceedings upon completion of his sentence. In August 2019, Diaz Diaz pleaded guilty to one count of false representation of a Social Security number and one count of aggravated identity theft.
On Aug. 1, 2017, Diaz Diaz applied for a Massachusetts identification card using the name, date of birth and Social Security number of a Puerto Rican born United States citizen. At the time of his arrest in April 2019, Diaz Diaz was on probation out of Lawrence District Court for distribution of heroin in the United States citizen’s identity. Diaz Diaz was identified, among other things, from a fingerprint match with a Dominican Republic identification document issued to him and bearing his photo.
United States Attorney Andrew E. Lelling; Jason Molina, Acting Special Agent in Charge of Homeland Security Investigations in Boston; and Scott Antolik, Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division made the announcement today. Assistant U.S. Attorney Lindsey E. Weinstein of Lelling’s Major Crimes Unit prosecuted the case.
Dominican National Pleads Guilty to Fentanyl, Heroin and Identity Theft ChargesRead the Press Release
BOSTON – A Dominican national pleaded guilty today in federal court in Worcester to drug and identity theft charges.
Jonathan Francisco Bobadilla Rosa, 30, a Dominican national previously residing in Worcester, pleaded guilty to possession with intent to distribute 100 grams or more of heroin and 40 grams or more of fentanyl, false representation of a Social Security number and aggravated identity theft.
On Dec. 14, 2018, law enforcement seized approximately 138 grams of a substance containing both heroin and fentanyl from a backpack carried by Bobadilla Rosa. In addition, on Feb. 14, 2018, Bobadilla Rosa falsely represented that the Social Security number of another person belonged to him in an application for a Massachusetts identification card from the Massachusetts Registry of Motor Vehicles.
The charge of possession with intent to distribute 100 grams or more of heroin and 40 grams or more of fentanyl carries a mandatory minimum sentence of five years and up to 40 years in prison, a minimum of four years and up to a lifetime of supervised release and a fine of $5 million. The charge of false representation of a Social Security number carries a sentence of up to five years in prison, three years of supervised release and a fine of $250,000. The charge of aggravated identity theft carries a mandatory sentence of two years in prison, to be served consecutive to any other sentence imposed, three years of supervised release and a fine of $250,000. Bobadilla Rosa will be subject to deportation proceedings. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and William B. Gannon, Special Agent in Charge of the U.S. Department of State, Diplomatic Security Service, Boston Field Office, made the announcement today. Valuable assistance was provided by the Massachusetts Attorney General’s Office and the Massachusetts State Police. Assistant U.S. Attorneys Bill Abely and John Mulcahy of Lelling’s Criminal Division are prosecuting the case.
District Man Sentenced to 80 Months in Prison for Unlawful Possession of a FirearmRead the Press Release
WASHINGTON- Francis Bankins, 37, of the District, was sentenced to 80 months in prison yesterday for the unlawful possession of a firearm announced U.S. Attorney Jessie K. Liu and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Bankins was previously found guilty of unlawful possession of a firearm and ammunition by a person convicted of crime punishable by imprisonment for a term exceeding one year. He was sentenced in the U.S. District Court for the District of Columbia by the Honorable Colleen Kollar-Kotelly to 80 months in prison. Upon completion of hi prison term, he will be placed on three years of supervised release.
According to the government’s evidence, on June 11, 2018, at approximately 5:05 P.M., officers of the Metropolitan Police Department’s Narcotics Special Investigations Division (NSID) were in the area of 3101 Naylor Road, S.E., Washington, D.C., conducted a traffic stop on a vehicle with heavily tinted windows. Bankins was seated in the front passenger seat of the vehicle. Officers approached the vehicle, spoke with Bankins, and asked him to exit the vehicle. Bankins repeatedly refused but eventually got out of the vehicle. As he exited the vehicle, an officer observed that the right front pocket of Bankins’ jacket was weighed down with what he believed to be a weapon. Recovered from Bankin’s jacket pocket was a .357 Magnum revolver with five rounds in the cylinder.
In announcing the sentence, U.S. Attorney Liu and Chief Newsham praised the work of the officers from MPD’s NSID Division. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office for the District of Columbia, including Assistant U.S. Attorney Emory V. Cole of the Violent Crime and Narcotics Trafficking Section, who indicted and prosecuted the case, and Paralegal Specialist Teesha Tobias, former Paralegal Specialist Jeannette Litz, and Legal Assistant Emma Atlas.
Disbarred lawyer sentenced to 5 years in prison for wire fraud and Aggravated Identity TheftRead the Press Release
Seattle – A former lawyer, who was disbarred following a 2003 fraudulent check scheme, and a federal fraud conviction, was sentenced today in U.S. District Court in Seattle to five years in prison and three years of supervised release for wire fraud and aggravated identity theft. JOHN WILLIAM ALDERSON, 47, pleaded guilty in July 2019 following a three-year scheme to defraud a romantic partner and family members. ALDERSON has a 2003 federal conviction for wire fraud and Social Security fraud, which resulted in a 41-month prison term. At his sentencing hearing U.S. District Judge Richard A. Jones said, “You have not demonstrated any respect for the law. You do this over and over and over.”
According to records filed in the case, in 2014 ALDERSON met his victim through an online dating website, and falsified much of the information he told the victim about his background. ALDERSON lied about his age, his educational background, his family’s wealth and failed to disclose his prior federal conviction for fraud. ALDERSON moved into his victim’s home in 2015 and gained access to the victim’s personally identifying information. Using that information, ALDERSON opened the credit card accounts and pretended to be the victim to dispute charges on the credit cards. One of the charges incurred on the cards was for ALDERSON to have plastic surgery at a Bellevue clinic. Those charges traveled interstate, constituting wire fraud. ALDERSON induced the victim to write him checks that were to be deposited in a joint investment account but instead were used by ALDERSON for his own expenses. ALDERSON forged letters and emails from various attorneys representing that ALDERSON was to receive a large financial settlement. Those representations were false. ALDERSON also used the identity of relatives living in Enumclaw to open an additional credit card account resulting in more than $38,000 in fraud. ALDERSON admits to a total fraud loss of more than $262,712.
Calling him a “financial predator,” prosecutors asked for a sentence at the high end of the guidelines range saying, “The fraud he admitted to in this case was elaborate, involving layer upon layer of deception…. Fraud is nothing new to Alderson. His conduct in this case is part of a pattern of fraud and criminality that stretches back over fifteen years.”
ALDERSON’s victims told the court that he is a “vindictive and unrepentant predator” who treated his crimes as “a thrilling game of fraud and deception,” and wielding his legal knowledge as a weapon to harm others. One called him a “charming chameleon who wants to derail the lives of others.”
Judge Jones agreed that the harm in this case went beyond the financial impact noting “the wrecking-ball effect” of what ALDERSON did, “betraying trust, integrity, compassion and love, with greed, lies, fraud and deceit.”
Judge Jones ordered ALDERSON to pay $141,482 in restitution to his victims.
The case was investigated by the FBI.
The case was prosecuted by Assistant United States Attorney Michael Dion.
Department of Justice Awards More than $165 Million in Public Safety Funding to the State of North CarolinaRead the Press Release
The Department of Justice today announced awards of more than $165 million to support public safety efforts in the state of North Carolina. The funding from the Office of Community Oriented Policing Services (COPS), Office of Justice Programs (OJP), and Office on Violence Against Women (OVW) will support violent crime reduction, opioid/substance abuse reduction efforts, school safety, victim services, transitional housing for domestic violence victims, law enforcement activities, justice mental health, and juvenile justice.
“The Department of Justice is very pleased to provide these critical public safety resources not only to local law enforcement agencies throughout North Carolina, but also to state-level agencies for the benefit of all North Carolinians,” said Director Phil Keith of the Office of Community Oriented Policing Services. “This funding will secure schools and protect kids from crime and violence across the state, and help to combat the scourge of deadly drugs running rampant in our communities.”
“Helping to protect North Carolinians — and all Americans — is job number one for the Department of Justice and the Office of Justice Programs,” said Principal Deputy Assistant Attorney General Katharine T. Sullivan of the Office of Justice Programs. “I’m proud to make these resources available to the brave crime-fighters, compassionate service providers and dedicated criminal and juvenile justice professionals who work so hard, day in and day out, to safeguard the communities of this great state.”
Director Phil Keith made the announcement in Raleigh on Friday morning along with Governor Roy Cooper, U.S. Attorney Robert J. Higdon Jr. for the Eastern District of North Carolina, U.S. Attorney Matthew G.T. Martin for the Middle District of North Carolina, and North Carolina State Bureau of Investigation (SBI) Director Bob Schurmeier. The North Carolina Department of Public Safety received approximately $2.9 million from the COPS Office for investigating illicit activities related to heroin distribution and methamphetamine trafficking, and the North Carolina Department of Public Instruction (DPI) was the only state-level agency to receive funding to improve school security through the 2019 COPS School Violence Prevention Program. Additional school safety funding was provided to both the North Carolina SBI and DPI through OJP’s Bureau of Justice Assistance for behavioral threat assessments and the enhancement of the North Carolina State School Safety Center.
“North Carolina law enforcement will be better able to keep our communities safe and stop drug traffickers with this vital funding,” said Governor Roy Cooper. “Federal support for local expertise is the right way to fight the opioid epidemic and to protect our schools. These grants will go a long way in making sure North Carolinians live in safe communities.”
“Supporting law enforcement at every level and all across the State of North Carolina goes to the heart of the mission of the U.S. Department of Justice,” said U.S. Attorney Robert J. Higdon Jr. "And these grants provide much needed resources and funding to law enforcement agencies as they work to protect our communities from violence, drug trafficking and any others who threaten our safety and security.”
“The grants announced today by the U.S. Department of Justice represent a significant investment in support of law enforcement and public safety in North Carolina,” said U.S. Attorney Matt Martin. “We are particularly pleased that grants in the Middle District will support school safety programs, the fight against opioid addiction, and the coordinated efforts under way to reduce gun violence from Durham to Winston-Salem and Rockingham County to Cabarrus County. These are critical priorities of all three U.S. Attorneys; to borrow an apt adage: we are putting our money where our mouth is.”
“These grants will allow SBI agents across North Carolina to more effectively partner with our police departments and sheriff’s offices to continue the fight against the opioid epidemic,” said SBI Director Bob Schurmeier. “Families in our state have suffered enormous pain and loss and we grieve with them. We will use these resources to go after the cartels, traffickers and dealers and bring them to justice. We are grateful to the COPS Office and the US Department of Justice for their support of North Carolina and the State Bureau of Investigation.”
A full list of COPS awards is available online at https://cops.usdoj.gov/grants. OJP awards, organized under specific grant programs, are available online at https://ojp.gov/funding/Explore/OJPAwardData.htm. For OVW awards, visit https://www.justice.gov/ovw/awards.
About the Office of Community Oriented Policing Services:
The COPS Office is a federal agency responsible for advancing community policing nationwide. Since 1994, the COPS Office has invested more than $14 billion to advance community policing, including grants awarded to more than 13,000 state, local and tribal law enforcement agencies to fund the hiring and redeployment of approximately 130,000 officers and provide a variety of knowledge resource products including publications, training and technical assistance. For additional information about the COPS Office, please visit www.cops.usdoj.gov.
About the Office of Justice Programs:
The Office of Justice Programs, directed by Principal Deputy Assistant Attorney General Katharine T. Sullivan, provides federal leadership, grants, training, technical assistance and other resources to improve the nation’s capacity to prevent and reduce crime, assist victims and enhance the rule of law by strengthening the criminal and juvenile justice systems. More information about OJP and its components can be found at www.ojp.gov.
About the Office on Violence Against Women:
The Office on Violence Against Women provides leadership in developing the nation’s capacity to reduce violence through the implementation of the Violence Against Women Act and subsequent legislation. Created in 1995, OVW administers financial and technical assistance to communities across the country that are developing programs, policies and practices aimed at ending domestic violence, dating violence, sexual assault and stalking. In addition to overseeing federal grant programs, OVW undertakes initiatives in response to special needs identified by communities facing acute challenges. Learn more at www.justice.gov/ovw.